Farmers' Confidence Declines Due to Concerns About Mycoplasma Bovis – Rabobank Inquiry

The confidence of New Zealand farmers decreased in the last quarter due to concerns over the impact of Mycoplasma bovis disease on the country's agricultural sector, the number of farmers waiting for it to improved conditions only increasing. The recent Rabobank survey on confidence in rural areas

"The strength of commodity prices in virtually all sectors continues to support farmers' profitability and optimism, but despite positive generalized returns, 39, uncertainty of the environment "Hayley Gourley, managing director of Rabobank New Zealand for banking operations in the countries, said in the report

that the number of farmers who s'. Expect an improvement in the rural economy over the next 12 months fell to 26% from 27% in the last quarter, while the number of those expecting a deterioration in the economy. The rural economy climbed to 24% from 12% in the previous quarter, with 78% citing Mycoplasma bovis and the consequences of the farming process as farmers expect the agricultural economy to deteriorate. eradication as pr Incipal reason to adopt this view, noted Mr. Gourley.

"Government intervention was the second most prevalent reason for farmers' pessimism, however, this was cited much less frequently than in previous quarters," Gourley said. According to the report, overall confidence in the wider agricultural economy has been reduced by the reduced expectations of sheep and cattle farmers and horticulturalists, according to the report

. fell sharply among sheep and beef farmers, falling to a negative 6 percent, up from 11 percent in the previous quarter, while it fell to a negative 9 percent among producer confidence. However, dairy has been firming, in part because of the strong forecast of $ 7 per kilogram of milk solids from the Fonterra Cooperative Group for the 2018-2019 season, according to Gourley.

"The opening forecast of Fonterra was announced just prior to the completion of this study and gave a positive tone for the coming year, while the industry continues to work at the Eradication of mycoplasma bovis, "she said.

"Spirits were buoyed by the weaker kiwi dollar against the US dollar, helping to support the favorable prices of milk on the farm," adds Gourley. TNS, which interviews about 450 farmers each quarter.